Viet Nam News
HÀ NỘI — Many listed companies have announced high dividends early this year to reward investors following a surge in profits last year.
Steelmaker Hòa Phát Group (sticker HPG) will issue nearly 421.4 million shares worth over VNĐ4.2 trillion (US$184.2 million) to pay shareholders stock dividends at the ratio of 50 per cent. (Shareholders will receive five new shares for every 10 shares they own.)
The company will close the shareholder list for this payout on March 31.
In 2016, Hòa Phát posted a record after-tax profit of over VNĐ6.6 trillion, a year-on-year increase of 89.4 per cent. Its total undistributed profit reached VNĐ9.5 trillion ($416.7 million) by the end of 2016.
Shares of the biggest listed steel firm climbed nearly 48 per cent in 2016 after a surge in net profits but have declined around 10 per cent this year after the company decided to adjust down its 2017 profit target.
Quảng Ngãi Sugar JSC (sticker QSN), one of the biggest sugar manufacturers in Việt Nam, will also pay a 50-per-cent dividend – 20 per cent in cash and 30 per cent in stocks.
The payment will cost the company over VNĐ937.7 billion.
The company had paid five per cent cash dividends two times, once in September 2016 and another in January 2017. The remaining 10 per cent will be given to shareholders whose names will be included in the list on April 14.
Quảng Ngãi Sugar reported net profits of VNĐ1.54 trillion in 2016, a seven-fold increase over its annual profit target and up 14.5 per cent over the previous year. In 2017, it has set a moderate net profit target of just VNĐ184.2 billion.
Its shares have gained 32.4 per cent this year, trading at around VNĐ125,000 ($5.48) a share.
At lower ratios, pharmaceutical company Traphaco SJC (sticker TRA), Việt Tiến Garment Corp (sticker VGG) and automobile dealer Phú Tài Corp (sticker PTB) are paying 30 per cent dividends.
With VNĐ208 billion in net profits, up 16 per cent year-on-year, Traphaco has decided to pay a 30 per cent dividend in cash. The first 20 per cent was paid in January this year, and the remaining 10 per cent will be given in the second quarter.
The company also plans to issue bonus shares at the ratio of 20 per cent to hike its charter capital to VNĐ414.5 billion.
Việt Tiến Garment will also pay a cash dividend of 30 per cent, and Phú Tài will pay 10 per cent in cash and 20 per cent in stocks.
Both companies reported a year-on-year increase of 20 per cent in 2016 profits.
Earlier this month, the Rạng Đông Light Source and Vacuum Flask JSC (sticker RAL), information technology company FPT Corp (sticker FPT) and pharmaceutical firm Imexpharm Corp (sticker IMP) announced dividends of between 15 per cent and 20 per cent. — VNS